The US Department of State's plans to purchase armored electric vehicles from Tesla have been put on hold by the Trump administration following reports of a potential $400 million deal. The deal, which was in its early planning stages when Joe Biden was president, faced scrutiny after reports surfaced about the potential purchase in May 2024.
Plans for the US Department of State to purchase armored electric vehicles from Tesla have been put on hold by the Trump administration following reports of a potential $400 million deal. While the deal was in its early planning stages when Joe Biden was president, it was expected to be the largest contract of the year, highlighting how some of Musk's wealth has come and was still projected to come from taxpayers.
The plans faced scrutiny after reports surfaced about the potential purchase in May 2024. The State Department had tasked itself with gathering information from potential suppliers to buy these vehicles in September. An official request for bids was expected to be released in May, according to State Department data from December. However, this solicitation is now on hold with no plans to issue it, the State Department confirmed. After reports emerged about the plans to buy from Tesla, the State Department changed the data entry on its expected contracts forecast for fiscal year 2025 late Wednesday. The State Department stated that it should have been entered into the system as a generic “electric vehicle manufacturer,” but there is at least another entry for a different purchase that continues to list a company — German car manufacturer BMW. This development comes amidst ongoing scrutiny of government contracts awarded to companies with ties to Elon Musk. SpaceX, Musk’s space exploration company, has secured nearly $20 billion in federal funds since 2008 to ferry astronauts and satellites into space. Tesla has also received $41.9 million from the U.S. government, including payment for vehicles provided to some U.S. embassies. No government contract had been given to Tesla or any other manufacturer to produce armored electric vehicles for the Department of State, the agency said
ELON MUSK TESLA TRUMP ADMINISTRATION US DEPARTMENT OF STATE GOVERNMENT CONTRACTS ARMOR ELECTRIC VEHICLES
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